TITLESIGNIFICANCE OF

ECONOMICS IN
PRACTICAL LIFE

SUBMITTED BY- NIKHIL

GUPTA & MEHFOOZ ALAM
COURSE BBA
SECTION B 106
SUBMITTED TO Mrs. GEETI SHARMA

content

Acknowledgeme
ntmy special
I would like to express

thansks of gratitude to my
teacher(name of the teacher) who gave
me the golden opportunity to do this
wonderful project on the topic(topic
name) , which also helped me in doing a
lot of research and I came to know about
so many new things I am really thankfull
to them .
Secondly I would also like to thank my

Introduction
Economics is a social science which studies how human
beings make choices to use scarce resources to satisfy
their unlimited wants.
The term Economics in english language has its origin
in two greek words: oikos(houshold) and nemein
(management). Thus, they mean management of
houshold wants of each houshold are unlimited but most
of the means to satisfy them, like food, cloth etc.,are
limited or scarce. thus, faced with scarcity, people while
managing the houshold must make choice. People can not
have everthing that they wants, so they have to choose
among the available alternative. However, scarcity forces
people to choose, economicesis sometimes called the
science of choice- the science that explains the choices
that people make and predicts how change in

Siginificance
of economics
in pratical life
for

Conclusion
After doing this assignment we are
concluding that economics is the study
of how human beings make choice to
allocate scare resources to satisfy their
unlimited wants in such a manner that
consumers can maximise their
satisfaction, producers can maximise
their profits and the society can
maximise its social welfare.
Economics is important for everyone

(i) For housewife- Economics is highly useful for a housewife.

She is the person who holds the purse strings and she is the
main decision maker of the family .she can maximise
family well bring by allocating family income on various
family needs .A study of consumers equilibrium can help
her in her purchasing decision she can benefit from the
study of market behaviour of specific goos e.g., the prices
of agricultural goods, especially foodgrains, are lower at
the time of harvesting than in the rest of the year. She can
thus buy foodgrains at the time when they are harvested.
She can study the movement of various economics indicator
and make appropriate finsncial decision .
(ii)For businessman- Economics tools help a businessman in his
decision making exercise. First of all, on the basis of demand
forecasting, he can make a choice about the goods to be
produced , once this decision is taken, the decision
regarding location ,size, product-mix , factor-mix ,pricing
,marketing,etc .,can be made with the aid of various
economics tools. The theories of production, cost and
revenues modals such as allocation modals, scheduling

(iii)For social worker- Economics and social conditions are

interrelated. Social backwardness and economics
backwardness often go hand in hand. A study of economics
helps a social worker in understanding, causes for
backwardness of society and helps him to suggest ways for
reduing it. The kind of questions that could interest social
groups are: should the government spend more on defence;
how best is monopoly regulated, should health services be
provided free of charge, what pattern of public spending will
generate most jobs, should the rate of unemployement be
reduced or should it be the rate of infltion; how should
decisions regarding the rate of depletion of resoures be taken;
which type; of location policy will help in develping backward
areas, etc.
(iv) For administrator- The role of state in economics matters is
increasing. It is therefore, necessary that the administrator
should be aware of the economics problems and various
economics tools for reducing these problems. For example, if
economy is in the grip of inflation, the adminitrator should

(v)

For planners- The knowledge of economics is of immerence

value for planners also. Economics planning as a technique of
economics growth has been adopted by many economics and
for this understanding of economics problems techniques
available to attack these problems is very essential. The
knowledge of economics is essential at every stage laying of
objective, analysis of human, physical and finacial resourecs,
making administrative arrangement for implemention of
programmes and lastly for review and evalutaion of the
progress.

Biblographoi
For completing this assignment I
have been taking help from
various books such as:
Principle of economics by T.R JAIN
Principle of economics by PREM JI
BUTANI